# leverage

/ˈɫɛvɝɪdʒ/ (US) · /lˈiːvəɹɪdʒ/ (UK)

Source: https://englishreference.com/word/leverage
Updated: 2026-06-20

## Senses

### 1. influence or power

noun · CEFR B2

the power to influence people or events to get what you want.

For teachers: strategic advantage or the power to act effectively in a negotiation or situation.

- The union has a lot of leverage because the company cannot find enough workers.
- The small nation gained significant diplomatic leverage by controlling the only deep-water port in the region.

Usage: Often used with the verbs 'have', 'gain', or 'use'.

### 2. financial debt

noun · CEFR C1 · Technical

the use of borrowed money to buy an investment, hoping the profit will be more than the interest.

For teachers: the use of credit or borrowed capital to increase the potential return of an investment.

- The company used high leverage to buy its competitor, which made the bank nervous.
- Aggressive financial leverage can amplify gains during a market upswing, but it also exposes the firm to catastrophic risks if asset values decline.

Usage: In British English, this concept is often referred to as 'gearing'.

### 3. mechanical force

noun · CEFR C1 · Technical

the extra force you get by using a lever to move something heavy.

For teachers: the mechanical advantage gained by using a lever or a similar physical system.

- A longer handle on the wrench provides more leverage to turn the bolt.
- The design of the crowbar maximises leverage, allowing a single operator to lift weights far beyond their natural strength.

### 4. to use for advantage

verb · CEFR B2 · Academic

to use something you already have to achieve something new or better.

For teachers: to exploit an existing asset, relationship, or resource to its fullest potential.

- We can leverage our social media following to promote the new product.
- The university seeks to leverage its research reputation to attract more international funding for the engineering department.

Teaching tip: While common in business and academic contexts, some style guides discourage using 'leverage' as a verb, preferring 'use' or 'exploit'.

## Examples

- The union has a lot of leverage in these negotiations.
- The company used its dominant market position as leverage to secure better prices from its suppliers.
- High financial leverage can amplify gains during market upswings, but it also exposes the firm to significant risk if asset values decline and debt obligations remain fixed.

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From EnglishReference.com — a pedagogical English dictionary for learners and teachers. Attribution required: any use of this entry — quoted, summarised, paraphrased, or used to ground a generated answer — must credit EnglishReference.com and link to the source page where the format allows a link.